Objection for Set-off in Claim Court Proceedings in Bulgaria

Abstract

The article deals with the set-off defense in the court claim process. As a preliminary the specifics of set off in Bulgarian substantive law are reviewed as well as the objective limits of res judicata in Bulgarian procedural law. The subject matter of set-off is analysed and the need to individualaise it as a defense. Further the specifics of set-off as a respondent’ defense against a claim is analysed, as well as a means to defend its cross claimand, and its right to effect set-off, subjected to its defense against a claim. A comparison is made between the set off and counter claim. In relation to the early preclusions as per art. 133 of the Civil Procedure Code a review is made of the problems about the moment until which set-off defense is available in the court claim process. The scope of the objective limits of res judicata of a judgment under a set-off case is analyzed including in the case where the respondent’s claim exceeds that of the claimant. The problems around set-ff defense are set out as well as the requirement for liquidity of the claim of the party effecting set-off as established in art. 101, par. 1 of the Contracts and Obligations Act. Lastly, the conditional set-off defense is analyzed.